Exploring the Impact of Cultural Diversity on Organizational Success

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2023-10-03

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Saudi Digital Library

Abstract

Diversity of cultures in an organization is essential for responding to the current rapidly growing labor market across the world. Cultural diversity at the workplace varies from behaviors, experiences to knowledge associated with certain ethnic groups, languages, educational levels, socio-economic status and political affiliations of individuals working in those companies. The multidimensional concept of cultural diversity in working environments is accompanied by various opportunities as well as threats that keep changing as the world continues developing

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This study aimed at exploring ways in which cultural diversity among the workforce impact on the success of organizations. Mixed method approach was used to collect meaningful evidence from 10 organizations selected randomly from the online list of organizations found in Scotland. Online survey questionnaires and physical semi-structured interviews were used to acquire perspectives and experiences of 480 participants and 22 managers respectively selected through stratified random sampling technique. The 22 interviewees were recruited from the 220 participants who consented to be engaged in the second phase of qualitative inquiry. Statistical analysis and thematic analysis were used to analyse qualitative and quantitative data obtained from the field research. The findings revealed that most organizations in Scotland are culturally sensitive and the diversity characteristics have a significant influence on the success of organizations. The study found out that the impact of cultural diversity on communication within organizations was related to how decisions are made, misunderstandings created and problems solved. The performance of teamwork was found to be affected in terms of knowledge and skills sharing as well as reduced discrimination. The study has recommended managers to adopt various strategies such as having real-time information systems and workforce diversity trainings to revitalize the management system in enhancing inclusion and cultural sensitivity to help effectively meet the organizational goals. Also, the study report has provided policy makers with better insight into developing appropriate relevant frameworks that would help companies to ensure that the diverse social groups within institutions collaborate to offer quality services and achieve positive organizational performance.

Keywords

Exploring the Impact of Cultural Diversity on Organizational Success, Organisational Performance, Cultural Diversity, Diversity Management Theories

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